This May 2017 Real Estate Market Report describes the real estate market conditions in Coastal North County San Diego, and how they have changed over the past month and year.
What’s Happening in the North County San Diego Real Estate Market?
Can you believe that summer is only one month away? As the school year winds down for summer vacation, more people are looking for homes, and many homeowners are planning to put their homes on the market.
Housing inventory has increased overall, but still lower than normal. Prices are gradually increasing, and many listings go into escrow after only one week! In the Encinitas/Leucadia/Cardiff area, for example, the median number of days on market is only 8 days for detached homes, and 7 days for attached homes.
In Carlsbad, the inventory has again decreased slightly from last month. Fewer homes were listed in April than in March. Median final sales prices for detached home increased from $912,000 in March to $990,000 in April. The median number of days on market for all April sales was 13.
In Encinitas, inventory has increased by over 15% from one month ago. Median final sales prices for detached homes increased over 25%, from $1,012,500 in March to $1,360,000 in April. Detached homes that sold in April were on the market for only 8 days.
In San Marcos, inventory increased by over 18% in the past month. April sales prices for detached homes decreased slightly from March. The median number of days on market for all April sales was only 9.
In Vista, inventory increased slightly from last month. April sales prices are slightly lower than March sales prices. The median number of days on market for April sales were 13 for detached homes, and 5 for attached homes.
Fixed mortgage rates continue to hover just above 4% for conventional loans. VA and FHA loans have enjoyed lower rates, mostly below 4%.
Mortgage Limits in 2017 – Conventional, VA, FHA
Effective January 1, 2017, the mortgage limit for conventional, VA, and FHA loans in San Diego County is $612,950. The conforming loan limit is now $424,100. Loans at or below this amount usually offer the lowest interest rates.
Loans between $424,100 and $612,950 are super conforming loans. Any loans above $612,950 are jumbo loans.
Loan Program Update
FHA Loan Programs offer mortgages with only 3 1/2% down payment. VA Loan Programs continue to offer $0 down payment mortgages to eligible military active duty and veterans, with no monthly mortgage insurance. Conventional loans are available starting at only 3% down payment, and some of these conventional loans are available with no monthly mortgage insurance.
All of these loan programs can be used for new purchases, or for refinancing existing mortgages.
STILL TIME TO BUY SOLAR! Federal tax code allows for a one-time 30% Residential Energy Credit to purchase home solar photovoltaic systems. The credit may include any repairs necessary to install the panels, including roofing repairs. Check with your tax professional. This 30% incentive will be available through December 31, 2019, before tapering to 10% in 2022. Read my Solar for Homeowners article series.
Tree Trimming Season is Over
Bird nesting season has begun, so delay your tree pruning until September or October. Read more about when to prune your trees.
Down Payment Assistance
The San Diego Housing Commission provides loans and grants to help first-time home buyers. The California Housing Finance Agency (CalHFA) also offers down payment assistance to low- to moderate-income Californians. HomePath offers a down payment assistance program called the HomePath Ready Buyer Program. Also, check out the Down Payment Resource Directory, an online search tool to identify more down payment assistance programs.
Consult the Real Estate Market Report for Your Area
My Real Estate Market Report covers the areas of Carlsbad, Encinitas/Leucadia/Cardiff-by-the-Sea, San Marcos, and Vista.
Selling Your Home
Are you curious about how much your home is worth? The Real Estate Market Report is a good start, but if you’re interested in the market value a particular property or area, contact me for a specific market analysis. In addition to my Real Estate Market Report, I also provide information about seller closing costs, to give you the true cost of selling a home.
You can also use my Seller Net Proceeds Worksheet, to estimate your bottom line. You can also read about the seller disclosure process. If you need to sell one home to buy another, here’s how to sell and buy a home at the same time.
Buying a Home
If you’re thinking of buying a home, use my Cost to Buy a House Worksheet and my Monthly Housing Costs Worksheet, to help you budget and plan for the future. You can also estimate your Mortgage Approval Amount. Learn more about the Cost to Buy a House and the Cost to Own a Home. If you are a cash buyer, read about Closing Costs for Cash Buyers.
For information about mortgages, you can read my articles about Choosing a Lender, How to Get Mortgage Approval, and How Much Home You Can Qualify to Buy. If you’re interested in buying a fixer property and hiring contractors to make repairs and renovations, you should consider a Renovation Loan. Renovation loans finance both the property and the renovations, in one single mortgage payment. Renovation loans can be used to finance energy upgrades, like insulation and solar panels. Before you invest in energy efficiency, read about 7 Ways to Finance Energy Upgrades.
Any questions? Send me a message.